Amazon expands Kindle lineup, boosts price of basic e-reader

New Amazon Kindle Fire HDX 8.9 Tablets are displayed during a launch event in New York September 17, 2014.

CREDIT: REUTERS/BRENDAN MCDERMID

(Reuters) - Amazon.com Inc ramped up its push into hardware on Wednesday with the debut of six new or upgraded devices, including a high-end $199 e-reader called the Kindle Voyage and its cheapest-ever touch-screen tablet.

The No. 1 U.S. online retailer also revamped its basic Kindle e-reader to include a touch screen. It will cost $79, about 15 percent more than the current basic model.

Other new devices unveiled on Wednesday are a $99 Kindle Fire HD tablet, which includes a smaller, six-inch screen as well as a tablet designed for kids that starts at $149. Amazon also upgraded its 7-inch and 8.9 inch Fire tablets.

All the upgraded and new devices start shipping in October.

The expanding Kindle lineup underscores Chief Executive Jeff Bezos' commitment to developing devices as a way to retain users and bolster its core business of retail and shopping.

This year alone, Amazon has launched a set-top box, a grocery ordering wand and a Fire smart phone, which debuted in July to lackluster reviews.

Amazon, which entered the hardware sector with the 2007 launch of the Kindle, has adopted a strategy of selling the devices at cost, and it profits when users buy content or goods.

It has been investing heavily in content, inking a deal this year to stream some HBO shows including "The Sopranos" and "The Wire" to members of its Prime subscription program.

"The vast majority of people are still using the tablets," David Limp, vice president of devices for Amazon, said during a briefing with reporters in New York.

Executives touted the Kindle Voyage as the thinnest device Amazon has ever made. The company hopes heavy readers might adopt the device, which more closely mimic a paper book.

The $79 Kindle is crucial to attract new users, particularly in markets like China, Japan and Germany, where e-readers are starting to gain traction, executives said.